merger letter to employees

Here are 8 ways you can retain your top employees after a merger or acquisition: 1. The merger will provide the path to improved compensation and benefits for employees. The initial announcement will be responsible for letting your investors and employees know that you are currently working on closing, or have closed, a merger or acquisition. Instead, tell her that the owners are exploring some options, including bringing in investors to help take the company to the next level. Importantly, the unions’ agreements represent an enhancement to … We have a fine company–a company with people who have the highest values and interest for their colleagues. How Mergers and Acquisitions Impact Employees . Over the coming months we will be working with each of you on becoming Cisco employees. As the company announced the shocking news that it's to buy Nokia's devices and services division, outgoing Microsoft CEO Steve Ballmer sent a letter to Microsoft employees … Employee benefits are a complicated venture after a merger or an acquisition. Today Universal and Harrington Uptown have reached an agreement to merge and restructure their organizations so both can devote time, resources, and expertise to what they know best in the _____ industry. Employees in one plant received the preview and those in another received limited information. Thank you for your hard work and past loyalty. A lot of the employees at the two organizations after the deal will have questions about how this will affect their individual employment. Certification Workshop. We’re glad you’re on board for this promising new future. Updated logistical information, such as a new website, location, or logo. Addressee Address City, State Zip. In a recent merger, targeted communications and leadership time spent cultivating the high performers—including one-on-one discussions between them and the leadership on future career paths—let them know how greatly they were valued. Mr. Mark Thomas . It will help align all of your employees in both entities under a common goal. If you tell the employee that the company is not for sale and then the company makes a sale announcement two months later, that employee will feel betrayed and her trust will be broken. Keep up the good work. Transfer of employees between different locations of the new entity, change in work profiles and execution of fresh or revised employment agreement with the new entity are some of the changes that would arise as a result of a merger or an acquisition. Example 2: Announcing mergers letters. As you can imagine, this decision to establish a restructuring reserve has been given thorough and deliberate consideration by the company’s management. Use this formal thank you letter or email to employees template to send thank you note to employee. Is it because the company’s technologies are complimentary? Notice isn’t required. While retaining employees after acquiring a company, it is important that you make your selection based on ‘merit’ and not on the ranks. Also, make sure that your human resources team is prepared to handle all types of questions that could come up from the employees. had just announced a merger. As a result of this reserve, we can become more cost competitive and continue to bring innovative products to our customers. Company Merger Letter To Employees Source: www.mergerintegration.com Company Merger Letter To Employees Source: 0.academia-photos.com Company Merger Letter To Employees Source: www.feiengineers.com Company Merger Letter To Employees Source: lh3.googleusercontent.com This week Fullerton, Inc. will begin a major restructuring effort to decentralize our operations and push decision-making lower in the organization. It is important to spend time reviewing all of these considerations before announcing because of the importance of your transaction being successful in the long term.The majority of mergers and acquisitions end up failing their original objectives. Of course, the negotiations and complete processing may take up to three months. Business leaders need to focus on effective communication and improving the employee experience. Date. Wrong! Download Letter. And that is just one issue to worry about! The letter has optional clauses for use before or after the transfer. Mergers are tricky business. In this post, we have tried to provide a bird’s eye view of the many points and challenges to be conscious of in the process. Address how the merger will affect employees directly. Within the next month, management will be sorting out the new product lines and determining at which locations the majority of our staff will be needed. Create a New Letter. During a merger, employees can experience a range of emotions. Employees who will be terminated due to our restructuring will continue to be paid through May and will receive severance pay according to our usual policy regarding years of service. Dear Mrs. Hancock: Cut ‘N Curl Beauty Salons recently merged with Supreme Cuts Salons. But oftentimes, leaders focus on items like: Financial projections; Org charts; Contracts; The majority of mergers and acquisitions fail because leaders ignore the emotional needs of their employees. In the Ottawa Citizen online article "Managing post-merger consolidation," human resources guru Jeffrey Sonnenfeld says: "Take at least as much time as you spend with your financial analysts and spend it with your employees. The Chairman, KLN Inc, XYZ Street, ABC Town, State. The only visible change evident immediately will be…. Company Name or Letterhead Address City, State Zip. Employee benefits are a complicated venture after a merger or an acquisition. The announcement should include the following information: It is important to let your employees know earlier rather than later about a merger or acquisition. Saying thank you to employees by sending them a formal thank you letter is a nice way of showing that you appreciate their hard work and effort and that you are happy to have them on your team. These changes are beneficial for all our employees because we have opened new opportunities for advancement. The Chairman, KLN Inc, XYZ Street, ABC Town, State. In a merger and acquisition, one company is likely to have a stronger foothold in the market than the other, giving rise to a power struggle. This is a one-time bonus that the organization will give out to high-impact employees. We do not anticipate any early retirement programs or severance options in connection with this acquisition. January 19, 2012. Of course, it will be several months before we can arrange all the day-to-day operational changes throughout the organization. This fact did not go unnoticed by Howard Schultz, Starbucks' chief executive.And he also made sure Starbucks employees were well aware of the situation--all 190,000 of them. Founder and Chairman of Peterson Enterprises Ltd. [Sub: Business proposal for a merger] Dear Mr. Thomas, This letter … We also expect all benefits to remain as they now are. Click Fields > Insert Field. An entity to entity merger/acquisition has manifold considerations, movement of employees and their rights being one of the most important aspects. It's still fine to move forward, right? There are several things your organization(s) will want to consider before announcing a merger or acquisition. This Letter to Employees Advising Change of Employer Following TUPE Transfer should be sent to employees who have been transferred to a new employer (the transferee) as a result of a TUPE transfer. These layouts provide superb instances of ways to structure such a letter, and also consist of example content to work as a … The letter should come from the new top manager of the merged organization or be written as a jointly-issued communication from the … I’m sure the question in most minds is that of layoffs. And that is just one issue to worry about! We are pleased to say we now have a goal, and we have a plan. Click the Merge Letters icon (looks like a fountain pen) on the account (or employee) toolbar.. Letter Merge / Word Processor. Please be patient with us in getting the right answer to you. Read the memo Disney CEO Bob Iger sent to employees after closing the $71 billion Fox deal. Communicate how the merger will or will not affect your employees’ career path – be available and listen to their personal concerns. Jan. 25 - Jan. 27, 2021 April 28 - April 30, 2021 August 23 - August 25, 2021 . Thank you for your patience in this transition period. 18) Use the right and left arrow keys to preview each appointee’s letter. Constellation Energy Group Inc. CEO Mayo A. Shattuck III sent the following letter to employees Thursday on the proposed merger between the … Employees can refuse to work for the new employer. Communicate how the merger will or will not affect your employees’ career path – be available and listen to their personal concerns. I love what I do, working with all of you, shipping incredible security products, and I’m excited to keep doing that at Cisco. There’s a bright future ahead. Our company officials and those of Freeman Inc. announced today an agreement has been reached on the merger of our two companies, to be effective May 9. If you explain the reason for the transaction, your employees will be more supportive of it. Merger. However, as soon as we complete our studies and make these decisions, we will keep you informed. The communications plan must absolutely address high potentials and critical employees. We will keep you informed of all the events and plans as we learn of them ourselves. Let readers know where they can direct other questions about changes. MSHA CEO Letter to employees confirms Wellmont merger. People care about where they work. Your merger announcement letter should solidify your company’s mission, explain anticipated changes and provide the customer with a point person to help navigate new policies and procedures if questions or concerns arise. Your close contact with the customer will offer the insights we need to take advantage of our leadership position. The disclosure to the outside world that a company is for sale — in other words, a candidate for a merger or an acquisition — can be a devastating bit of news. A change in the ownership or management of a company may result in a significant change in the working conditions of employees. Here's just what else you should you take into consideration when crafting an e-mail cover letter. The layoff letter should also explain clearly the company policy about layoffs and any collective bargaining rules that may apply when laying off an employee. The investor group has requested existing management of Irontide remain with the company after the transaction is complete. This means that the purchaser can’t just buy part of an organization, or just the intellectual property, but all of the organization’s assets. This merger provides an edge on the competition. Announce the merger, acquisition, or restructuring up front. In every merger, confusion, uncertainty, fear and resistance amongst staff can impact productivity and customer service. Acquisition Announcement Letter. As the company announced the shocking news that it's to buy Nokia's devices and services division, outgoing Microsoft CEO Steve Ballmer sent a letter to Microsoft employees … Be sensitive to the time it may take for employees to accept change post merger. If you send your cover letter as an accessory, you can send it as either a PDF data or Word paper. Employees in one plant received the preview and those in another received limited information. MSHA CEO Letter to employees confirms Wellmont merger. If your business has undergone a PAYE scheme merger and your employees receive company benefits, you must submit 2 forms P11D for each relevant employee… Letter to Employees - Merger or Acquisition Announcement. Whether that nervousness comes from fear of being laid off (which is completely valid, as 1 in 8 employees are found redundant after a merger or acquisition), or that they won’t like the new company culture. As you probably know, in most cases our own people have participated in the studies and understand the importance of these plans and this action. Make certain your cover letter includes these three things. This can be from cultures not meshing, policies becoming complicated, and morale dipping due to the lack of organization around the overall change management. As you have questions about job openings, benefits, or insurance coverage, please direct them through the normal channels. This merger will start an exciting next chapter for all Ingram Micro stakeholders, including our vendor and customer partners and you, our associates. It is important to spend time reviewing all of these considerations before announcing because of the importance of your transaction being successful in the long term. The goal? Select employees on merit. Company Merger Letter To Employees For Your Needs. The letter should come from the new top manager of the merged organization or be written as a jointly-issued communication from the CEOs of the merging companies. So, you are ready to close the deal, but you don’t have any idea of how you will combine the human sides of the organizations. Bloomberg delivers business and markets news, data, analysis, and video to the world, featuring stories from Businessweek and Bloomberg News on everything pertaining to technology If you’ve been noticing an uptick in merger and acquisition activity among midsize employers you are not alone – and it’s raising some interesting questions, as pointed out in a recent article in Employee Benefit News (“What Employers Should Know About Benefits After Mergers and Acquisitions”).. For example, a client might call and say, “We intend to buy ABC Company on September 1. Today Grafton, Inc. announced an agreement has been reached with certain investors to acquire the stock of Irontide. Download Article. Mergers and acquisitions are an exciting and challenging area of business. So, while focusing on this initial announcement is great, you will also want to have letters prepared for each of your specific stakeholders that will notify them of this change sooner rather than later. We anticipate no changes in coverage or costs as a result of this agreement. At the few sites where our studies are still incomplete, we will continue to listen to our own staff and work closely with them, keeping you informed every step of the way. After a merger, employees will naturally be concerned about terminations, since the new company won’t need two accounting or human resources departments. Staying human during these times could be the difference between failure and success. Effective October 1, we will begin to put into effect a restructuring plan that will help us eliminate duplication of efforts in our field operations while preserving the autonomy of individual regions. Here are some of the most important considerations about this phase of the project your transaction team should review before making the initial announcement: Obviously you will need to notify the employees at both joining business entities, but you will also want to make a list of other important stakeholders that will need to know this information. Constellation Energy Group Inc. CEO Mayo A. Shattuck III sent the following letter to employees Thursday on the proposed merger between the … With this input from each of your divisions, we have every confidence in making the best decision regarding the future of each division and the company as a whole. Introduce the New Brand. Mr. Mark Thomas. The many rumors you have heard do have some basis in fact–we are pleased to announce that…. A Company Merger and/or Acquisition Announcement Template, The Hart-Scott-Rodino Act and Premerger Notifications: An Overview. Make them strategic partners." Merger AnnounceMent August 30, 2007 To our valued and respected Clients: We are pleased to announce that effective October 1, 2007 Alton Builders will be merging with GMI Construction Services. JOHNSON CITY, Tenn. - … TUPE classifies these types of resignations as dismissals. Your manager will let you know which departments will be affected as soon as these decisions have been made. Well, explain this to your employees. Merger Integration Consulting Services Merger Integration Consulting Services Merger Integration. From: Mr. Peterson. In the interim period, we anticipate operating as we do currently; no changes in management have been discussed or approved. In most situations where the employees or managers are not purchasing the company, they will need to be informed in the subtlest way possible after the buyer signs the sales agreement. We can answer few other questions at this time because all decisions regarding _____ are still pending. This agreement is subject to several conditions that must be met before the acquisition is final, and this negotiation process may require up to five months. If you will be laying off employees, have each termination planned in advance, including having your information technology department ready to terminate passwords and security personnel on site to handle any disruptions. Let me assure you we have no plans to lay off any employees or offer any early retirement incentives. Certification Workshop. Finally, we pledge those leaving the company every reasonable assistance in finding suitable employment. Certification Workshop. Announcing the good news in an acquisition announcement letter raises the morale of not only your customers but the employees as well. Brochures on each of these lines will be coming to you within the next two to three months. We also want you to be part of this exciting opportunity to work out creative solutions to our sudden growth and expanded opportunity. We look forward to increased profitability for all concerned. The transfer of employment will happen automatically. Bozell, Inc., has charted a new course through the murky economic waters of the industry downturn. This merger will start an exciting next chapter for all Ingram Micro stakeholders, including our vendor and customer partners and you, our associates. All of us have an exciting future around the corner. Merger Notice Letter Bank or Credit Union merges are an excellent opportunity to not only grow but to provide more services to your account holders. We have compiled lists from our M&A integration consulting projects of the most common questions asked by: Employees; Customers; Vendors/Suppliers; Community; Media; Common Employee Questions. If the deal is finalized, provide the date at which is was finalized. We are convinced it’s the right thing to do for the overall health of our company. Here is the full text of the letter … by emily on March 20, 2012. Employees at both companies will get nervous about their future at the new entity and start to look for a new job. Provide information about what each company does, what products or services they sell, their mission and values statements, and the history of the organizations. Purchased Assets: This part of the letter of intent in a merger or acquisition refers to the purchasers intent to purchase all of the assets belonging to the sellers company at the point of transaction. This could be a PDF, or a link to an intranet website page. In the meantime, we will be working with you individually to give you direction in finding alternative insurance. Wednesday, April 1st 2015. Address immediate questions employees will have in their mind, such as those about layoffs or new openings, benefits, share values, or market position. Although mergers and acquisitions are typically used as an umbrella term to represent two companies … Because of this, your transaction team will want to partner with both company’s human resources departments to ensure that you have a plan to retain important employees. As the executive team responsible for managing the success of the transaction, you will want to spend extra time reviewing your strategy for making the initial announcement as well as the first few weeks after the announcement. We have learned today an agreement has been reached for Farmington investors to acquire the stock of Bledson International. Employees who believe that their terms and conditions have been substantially changed to their detriment before or after a transfer have the right to terminate their employment and claim constructive unfair dismissal at a tribunal. It may even lead to non-cooperation with the other merging company’s employees. At the Merge Letters screen a blank letter appears (or click File > New. Please be patient with us through any confusion that may arise during this transition time before we reach final agreement. by Preston Ayres. Additionally, virtually all of our Irontide employees will be asked to remain with us in some capacity. Acknowledge employees’ feelings as some may feel a genuine sense of loss. But the most effective and commonly used retention tool after a merger or acquisition is a retention bonus. Company Name or Letterhead Address City, State Zip. Such as your marketing team, legal team, shipping team, etc. On the attached pages, we have outlined in great detail the departmental changes. Competitors may pounce and try to steal customers by implying that the sale may impact product quality or through some other scare tactic. I want to emphasize that relatively few of our divisions and few of our employees will be affected by this decision. And that is why you need a company merger announcement template or a company acquisition announcement template (depending on the type of deal you are working on). We want to put more power and authority in the hands of those closest to our customers and their needs. Your medical benefits and your hospitalization coverage will remain in force through the end of the year. Merger Integration Consulting Services Merger Integration Consulting Services Merger Integration. Following the merger announcement this morning, the US Airways CEO Doug Parker sent out a letter to his employees outlining the merger with American, and we’ve pasted it in full below: We have undergone this reorganization in our Eastern Division to provide better, more direct service to our operations staff. Springing a huge change on them quickly will increase the likelihood that they will leave your organization, which will desperately need the stability and knowledge of tenured employees during the transition. ‹ › PDF Word. welcome letter to acquired employees; welcome letter after acquisition {0 comments} Sample Business Letter of Intent Letter. January 19, 2012. A A. wellmont-mountain-states-png-2048062-ver1-0.png . Thank you letter to employees, in some companies, are an everyday thing used to send thank you notes to employees. Contact information for representatives at your organization. Celebrate your accomplishments and history. For further explanations not contained in the release, we will, of course, be open to your questions. by emily on March 20, 2012. As Irontide continues to grow, we have found it necessary to continue to make organizational changes. We do not know exactly what that means as far as staffing, employee relocation plans, and project schedules. Merger Integration. Addressee Address City, State Zip. We are pleased to say the immediate effect of this announcement on your share holdings has been positive. This new direction offers an even more promising horizon. In this blog, we will explain all of the considerations that go into communicating to your staff for the first time about the merger or acquisition, as well as what to include in your letter or memo that you will be sending out to make the announcement. Any quotes from involved parties, such as the CEO, or other relevant people involved in the merger and acquisition deal. Sample Letter: Employee Communication During M&A. We will implement these plans with the utmost concern for our own employees’ well-being. As news of the Delta Air Lines Inc.'s $17.7 billion merger with Northwest Airlines broke, Delta executives sent the following memo to Delta employees:. Company Merger Letter To Employees Source: itlever.files.wordpress.com. Your organization is merging or acquiring for a reason, right? Lots of jobs ask you to submit a cover letter along with your other application materials, yet also if a cover letter is optional, you could take the opportunity to send out one along. Dear M. B. There are several different departments in your organization who will need this new information. Empathy for employee needs breeds the help you need to manage change. These formal thank you letters or appreciation letter to employees can also come from other colleagues. You will report to the division directors, who will report to the same regional directors. The next few weeks will be busy, exciting, and challenging ones. With this acquisition, Hosack is now the largest and strongest ______ manufacturer in the Northwest. The merger values Ingram Micro at approximately $6.0 billion, or $38.90 per share. This is a very exciting event for both companies, for our employees and our clients. Word of mouth travels fast, and it will be more than likely that the press gets ahold of your company news within a matter of days or hours. Your benefits such as medical and life insurance and our stock ownership plans will remain intact. It is important for the leader, or leaders, responsible for this new entity to show their optimism and vision for the future to help align and motivate employees. Rumor has it most of our employees are quite eager to complete the final transactions that will make us the largest retailer in the state. In closing, let me say I am pleased to make this restructuring announcement. [ Register | Login ]  We will continue to update you with details of this decision as soon as we ourselves learn of further plans. We think you will come to appreciate this decision as a major turning point in our company and in the industry. Medical and life insurance and our clients can also come from HR departments as much information possible. 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